The Registrar of Companies (ROC), Hyderabad, has imposed a significant financial penalty on an individual director for the violation of corporate regulations regarding Director Identification Numbers (DINs). The individual, Chukkamamba Sri Velamati (DIN 00218567), who serves as the Managing Director of ECMAT LIMITED and a director in four other companies, was penalized for breaching Section 155 of the Companies Act, 2013, which explicitly prohibits any individual from holding more than one DIN simultaneously.
The default was brought to the attention of the ROC by the applicant herself, who submitted an application for the adjudication of the offense and filed a DIR-5 form on May 27, 2024, to surrender a duplicate DIN (DIN 02749222). The second DIN was obtained on August 21, 2009, making the total period of continuous non-compliance approximately 5,393 days. Given that Section 159 of the Act prescribes a penalty that may extend to ₹50,000 and a further penalty of up to ₹500 for each day the default continues after the first, the ROC treated the long duration of the violation as the primary factor in determining the final penalty.
Based on the protracted nature of the default, the ROC imposed the maximum calculated penalty of ₹2,746,500 on Chukkamamba Sri Velamati. The order specifies that the penalty must be settled from the individual’s personal sources through the MCA’s e-Adjudication portal within 90 days of receiving the order. Failure to comply with the payment directive is subject to additional penal consequences under Section 454(8). The order also allows the applicant a window of sixty days to file an appeal with the Regional Director, Hyderabad.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Hyderabad
Registrar Of Companies, 2nd Floor, Corporate Bhawan, GSI Post,Nagole, Bandlaguda, Hyderabad, Telangana, India, 500068
Phone: 040-29805427/29804327, E-mail: roc.hyderabad@mca.gov.in
Order ID: PO/ADJ/09-2025/HD/00681 Dated: 25/09/2025
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 159 OF THE COMPANIES ACT, 2013.
A. Appointment of Adjudicating Officer:
Ministry of Corporate Affairs vide its Gazette notification number S.O. 831(E) dated 24/03/2015 appointed undersigned as Adjudicating Officer in exercise of the powers conferred by section 454 of the Companies Act, 2013 [herein after known as Act] read with Companies (Adjudication of Penalties) Rules, 2014 for adjudging penalties under the provisions of this Act..
B. Company details:
In the matter relating to ECMAT LIMITED [herein after known as Company] bearing CIN U74140TG1995PLC022443, is a company registered with this office under the Provisions of the Companies Act, 2013/1956 having its registered office situated at null
Individual details:
In the matter relating to CHUKKAMAMBA SRI VELAMATI [herein after known as individual] having DIN 00218567 and having its address at 391-I,Road No.81 Shaikpet Hyderabad Telangana India 500033
C. Provisions of the Act:
If any individual or director of a company makes any default in complying with any of the provisions of section 152, section 155 and section 156, such individual or director of the company shall be liable to a penalty which may extend to fifty thousand rupees and where the default is a continuing one, with a further penalty which may extend to five hundred rupees for each day after the first during which such default continues.
D. Facts about the case:
1. Default committed by the officers in default/noticee – Smt. Chukkamamba Sri Velamatti, having DIN-00218567, vide letter dated 14.10.2024 has submitted an application for adjudication of offence under section 159 of the Companies Act, 2013 for obtaining more than one DIN in violation of section 155 of the Companies Act, 2013. As per the application, the applicant has obtained DIN-00218567 on 01.07.2006 and another DIN-02749222 on 21.08.2009. Further as per the above said application, the applicant has filed DIR-5 vide SRN-AA8126267 on 27.05.2024 for surrender of DIN-02749222 and the said DIR-5 was sent for resubmission with remarks to adjudicate the violation under section 155 of the Companies Act, 2013. As per the information available in MCA Portal, the applicant is the Managing Director of the company M/s ECMAT LIMITED, CIN-U74140TG1995PLC022443 and Director in other 4 companies with the DIN-02749222, which is proposed to be surrendered. The default as per section 155 r/w 159 of the Companies Act, 2013 is continuing from 21.08.2009 to 27.05.2024 for a period of 5393 days.
2. The applicant has submitted a reply dated 18.08.2025 and has not opted for e-hearing.
E. Order:
1. Smt. Chukkamamba Sri Velamatti, having DIN-00218567, vide letter dated 14.10.2024 has submitted an application for adjudication of offence under section 159 of the Companies Act, 2013 for obtaining more than one DIN in violation of section 155 of the Companies Act, 2013. As per the application, the applicant has obtained DIN-00218567 on 01.07.2006 and another DIN-02749222 on 21.08.2009. Further as per the above said application, the applicant has filed DIR-5 vide SRNAA8126267 on 27.05.2024 for surrender of DIN-02749222 and the said DIR-5 was sent for resubmission with remarks to adjudicate the violation under section 155 of the Companies Act, 2013. As per the information available in MCA Portal, the applicant is the Managing Director of the company M/s ECMAT LIMITED, CIN-U74140TG1995PLC022443 and Director in other 4 companies with the DIN-02749222, which is proposed to be surrendered. The default as per section 155 r/w 159 of the Companies Act, 2013 is continuing from 21.08.2009 to 27.05.2024 for a period of 5393 days. E-Show Cause Notice dated 31.07.2025 was issued to the Applicant. The Applicant has submitted reply dated 18.08.2025. Further the applicant has not opted for e-hearing in the adjudication matter. The adjudicating authority based on the adjudication application and the information available in MCA Portal in respect of the above said DINs and after considering the submission from the applicant, do hereby impose the penalty as per the provisions of section 155 read with section 159 of the Companies Act, 2013.
2. The details of penalty imposed on the company, officers in default and others are shown in the table below:
| (A) | Name of person on whom penalty imposed (B) | Rectification of Default required
(C) |
Penalty Amount
(D) |
Additional Penalty (E)
(*Per day of continuing default i.e. date of rectification of default less order issue date) |
Maximum limit for
Penalty (F) |
| 1 | CHUKKAMAMBA SRI VELAMATI having DIN as 00218567 | 2746500 | 0 | 2746500 |
3. The notified officers in default/noticee shall rectify the default mentioned above and pay the penalty, so applicable within 90 days of receipt of the order.
4. The notified officers in default/noticee shall pay the penalty amount via ‘e-Adjudication’ facility which can be accessed through the respective login IDs on the website of Ministry of Corporate Affairs and upload the copy of paid challan / SRN of e-filing (if applicable) on the ‘e-Adjudication’ portal itself. It is also directed that the penalty so imposed upon the officers in default shall be paid from their personal sources/income.
5. Appeal against this order may be filed in writing with the Regional Director, RD Hyderabad within a period of sixty days from the date of receipt of this order, in Form ADJ setting for the grounds of appeal and shall be accompanied by a certified copy of this order [Section 454 (5) & 454 (6) of the Act, read with Companies (Adjudication of Penalties) Rules, 2014].
6. For penal consequences of non-payment of penalty within the prescribed time limit, please refer Section 454(8) of the Companies Act, 2013.
Parvinder Singh,
Registrar of Companies
ROC Hyderabad
